Suppressed Huawei "erupts"

Absrtact: In the U.S. market has repeatedly hit the wall of Huawei, ZTE and other Chinese telecommunications equipment manufacturers, this time again by the United States Congress. The Wall Street Journal reported 17th that the U.S. House Intelligence Committee will investigate the expansion of Chinese companies in the US by Huawei and ZTE.

In the U.S. market has repeatedly hit the wall of Huawei, ZTE and other Chinese telecommunications equipment manufacturers, this time again by the United States Congress.

The Wall Street Journal reported 17th that the House Intelligence Committee would investigate whether Chinese companies such as Huawei and ZTE could pose a potential threat to U.S. national security as they expand their operations in the United States.

reported that before the congressional launch of the investigation, the Wall Street Journal recently published an article on the White House on the integration of equipment to the United States system of foreign telecoms companies brought about by the potential security threat assessment. To some extent, the White House's assessment stems from concerns about Huawei, according to people familiar with the White House's intentions.

In response, William Plummer, director of external relations at Huawei, Plummer that 45 of the world's top 50 telecom service providers have used Huawei products and there have been no security incidents.

A ZTE executive said 16th that, despite the US government's obstruction, the company could not easily give up the huge US market.

The U.S. Congress has initially investigated

The Wall Street Journal said in an interview with Mike Rogers, a Republican congressman and chairman of the Intelligence Committee in Michigan, that we see a need for a full investigation, and that we are gravely concerned about the potential threat to national security from Huawei and other infrastructure companies, We need to use all the resources of the Committee to conduct a comprehensive investigation.

Rogers said the committee had conducted a preliminary investigation into the matter, including briefing briefings and talking about intelligence officials.

The Committee will investigate the way in which Chinese companies provide components to the US telecommunications system and the possible security threats posed by such activities, the report said.

In response to a congressional inquiry, Huawei said yesterday it was still communicating with the US division, which would take some time to give an official response. An employee of Huawei told reporters yesterday that the news of the investigation in the United States has been numb, "from now on, it is not surprising." ”

Huawei's foreign relations chief, Plummer, said the US security concerns were "vague and baseless", saying the query was irrelevant to Huawei's products. Huawei welcomes an open and impartial review of the problems that could be brought on by the interdependent global supply chain, which is used by almost every telecoms equipment provider. Such concerns could hamper open competition in the US market, Plummer said.

Suppressed Huawei "erupts"

Earlier, Huawei and ZTE's operations in the United States have repeatedly been questioned by U.S. lawmakers. Huawei and ZTE sought to sell equipment to US telecoms operators and were eventually canceled because of political interference, including a decision by the US to ban Huawei from building a national emergency communications network in the United States.

In the face of the United States since 2008 to systematically prevent Huawei to buy U.S. assets, a forbearance of Huawei finally on October 17, 2011, "broke out." At that time, Plummer said the United States should elaborate on "unfounded" national security concerns, "no more artificial fear." If you have something to say, take the evidence. ”

Huawei's "eruption" has been suppressed for a long time.

Huawei, the world's second-largest telecoms equipment provider, currently occupies 1/5 of the global market share of mobile communications equipment market, and has been to the U.S. rural areas and Chicago and other regions of more than 10 small operators to sell telecommunications equipment, including fixed network, wireless and radio network equipment, but so far in the United States market has not been a major achievement, and repeatedly hit the wall.

Huawei currently has 1500 employees in the United States, and last year it spent 6.1 billion dollars on goods and services in the United States. Plummer says tens of thousands of Americans are working for Huawei or their jobs depend on Huawei's purchases of U.S. goods and services, which amounted to $20 billion trillion over the past five years.

To gain access to the U.S. market, Huawei has adopted a variety of strategies to increase transparency, including a promise that its equipment can use Third-party agencies for safety testing and has hired senior U.S. officials to help lobby the U.S. government.

But from now on, these lessons have not received a positive response from the US side.

ZTE: Will not give up the US market

ZTE, the world's largest telecoms hardware supplier, has been planning to expand in developed-country markets, but the company has been facing political resistance to its development in the US.

ZTE previously said it had taken steps to ensure cybersecurity, never received security reports, and complied with all U.S. business rules. Houweigui, chairman of the company, said in October that the company would not seek to promote core telecoms network equipment in the United States because of political resistance.

However, the company's wireless product operations director Richard Ye, speaking on November 16 in an interview on the sidelines of the Asia Mobile Communications Conference, said ZTE would not lightly abandon this important market because of its size and high per capita consumption. He said the company still wants to provide network equipment to the four major U.S. telecom operators.

"ZTE continues to work with Deutsche Telekom's T USA, American telephone and telegraph Company, Sprint Nextel Corp. and Verizon Communications," added Richard ye. Inc. negotiated with Vodafone Wireless, the company's joint venture with Verizon, and provided the four companies with multi-function handsets or wireless data cards, but could not provide them with network equipment.

A person familiar with the matter told reporters yesterday that ZTE had changed its strategy in the US market by selling its wireless terminals, such as mobile phones, for the time being and not trying to sell network equipment.